When to Offer Rewrite? Costing my Agency Premium?

[insurance1822]

I always struggle w/ this. I just recently had a policyholder add a vehicle & I noticed their premium was high. When I notice this (and my concern is them price shopping & me losing the business..) I re-run w/ my carriers. I called this guy back & told him we reviewed his insurance & could save him $1,500 compared to what he was paying. We emailed the new quotes & figured we'd let the ball in his court.

This scum bag calls back 2 weeks later to cancel! He switched to a captive & this guy is so ferociously stupid he didn't even realize what he switched to was MORE then what we quoted!

Does anybody have statistics on this? What the proven BEST way to handle this is? Just ignore peoples premiums & bet that they'll stay w/ you? Proactively requote to save money to keep them happy & with your agency?

 

[Josh]

Allstate in NY changed the "company" (allstate p&c vs Allstate indemnity or something like that) which kept all their existing clients on the books as is, but any new customers went on the new company. For most folks it meant lower rates, so some agencies rolled their books. End result? Same thing you're experiencing, they'd lose business by disturbing their book, even when it meant saving the clients money.

 

[RFMaurone]

1822, always do what is right for the customer and go out and ask for a referral, get another customer that should make up for the loss of revenue. Have a Happy Easter

Sent from my iPhone using InsForums

 

[indienoise]

According to the insurance1822 dictionary, just one more bum out of your way, amirite?

 

[insurance1822]

^ Yes this is true. Ultimately this was a bum...but still a preferred piece of business.

 

[blue_wynd]

^ I am gonna have to agree with 1822 on this one. If the guy/gal can't appreciate the agent taking the initiative to requote them to save them money; they deserve to pay more.

 

[amandaturton]

I would be curious as to why he is willing to pay more. Can you reach out to him and ask out of general curiosity? You can always send him an offer upon his renewal with the captive. Maybe he needs a reminder of why he signed with you in the first place.